Tax and Budget

The tax code has enormous potential for helping alleviate poverty or potentially exacerbating existing inequalities. Both those on the right and left see a well-structured tax code as an important tool in creating opportunities even if there is strong disagreement on the specific solutions. Among the policies that have received bipartisan support is the Earned Income Tax Credit, which provides a refundable tax credit to certain low-income workers and can potentially help in boosting wages and encouraging work. Other potential policy issues or debates include the progressivity of the tax system and other benefits delivered through the tax code.

This section of the Spotlight website gathers the latest research, news, and opinion around the role of the tax code in addressing poverty and opportunity.